UBI posts Rs 211.46 crore net loss in Q1

Kolkata Aug 12 (IANS) State-run lender United Bank of India (UBI) on Friday reported a net loss of Rs 211.46 crore in the quarter ended June 30 2017 as compared to a net profit of Rs 38.32 crore in the year-ago period.

The bank s total income during the period was at Rs 2 852.61 crore up marginally from 2 819.37 crore in same period last year.

In spite of a strong 29.5 per cent rise in operating profit at Rs 423.63 crore backed by nearly two-fold jump in other income the bank suffered the net loss during the quarter as provisions for bad loans surged.

The lender s provision for non-performing assets (NPAs) in the quarter under review stood at Rs 732.53 crore in the quarter up by a whopping 155 per cent from Rs 287.02 crore in the corresponding quarter last year.

It said its provision coverage ratio was at 55.76 per cent in June quarter as against 52.47 per cent in the year-ago period.

In the quarter its asset quality worsened because gross NPAs grew by 20.25 per cent to Rs 12 164.90 crore from Rs 10 116.13 crore in the corresponding period last year.